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    Starting a Candle Business in Dubai [2024 Guide]

    Posted by admin Posted in Business Setup

    Feb 2 2024 at 5:46am

    candle business in dubai

    Dubai, with its thriving economy and growing population, presents a lucrative market for candle businesses. In this article, we will explore the candle business in Dubai, including the current state of the market, business requirements, setting up a candle business, challenges and opportunities and recommendations.

    Candle business in Dubai – market analysis

    The candle market in Dubai is steadily growing, driven by the city’s increasing population and demand for unique and luxury home decor products. Candles are used for various purposes, including religious ceremonies, special occasions, and to create a cozy ambiance in homes and businesses.

    According to a report by, the global candle market is expected to grow at a compound annual growth rate of 5.5% between 2020 and 2025, with the Middle East and Africa expected to be one of the fastest-growing regions. This presents a significant opportunity for candle businesses in Dubai.

    Currently, there are several established candle businesses operating in Dubai, including Yankee Candle, Bath & Body Works, and The Candle Company. These businesses have a significant market share, with Yankee Candle and Bath & Body Works dominating the market. However, there is still room for new entrants, especially those offering unique and high-quality products that cater to specific niches.

    Business Requirements

    Before starting a candle business in Dubai, it is essential to understand the legal requirements and regulations governing the industry. Here are the key requirements for starting a candle business in Dubai:

    Legal Structure: You must choose a legal structure for your business, such as a sole proprietorship, partnership, or limited liability company (LLC).

    License and Permits: You will need to obtain a trade license from the Department of Economic Development (DED) and a permit from the Dubai Municipality to sell candles. Additionally, you may require a special permit for the storage and handling of flammable materials.

    Product Certification: Candles must comply with the Emirates Conformity Assessment System (ECAS) and carry the ECAS mark to be sold in Dubai.

    Insurance: It is recommended to obtain business insurance to protect your business from potential risks and liabilities.

    Location: You must choose a suitable location for your business that complies with zoning regulations and is suitable for storing and handling flammable materials.

    Employment Regulations: If you plan to hire employees, you must comply with the UAE’s labour laws and regulations, including obtaining work permits for foreign workers.

    Setting up a candle business in Dubai

    Once you have fulfilled the legal requirements and obtained the necessary permits and licenses, it’s time to set up your candle business in Dubai. Here are the key steps involved:

    Finding a suitable location: Choose a location that is easily accessible to your target market and complies with zoning regulations. You may consider renting a retail space in a mall or setting up an online store to reach a wider audience.

    Equipment and supplies: You will need equipment and supplies to make candles, such as wax, wicks, fragrances, molds, and packaging materials. It is recommended to source high-quality materials from reliable suppliers to ensure the quality of your candles.

    Hiring staff and managing human resources: If you plan to hire staff, you will need to comply with UAE’s labour laws and regulations. This includes obtaining work permits for foreign workers, providing medical insurance, and complying with minimum wage requirements.

    Developing a marketing plan: Develop a marketing plan to promote your candle business in Dubai. This may include advertising in local newspapers, social media marketing, and attending trade fairs and exhibitions.

    Establishing partnerships: Consider establishing partnerships with local retailers and distributors to expand your reach and increase sales.

    Challenges and Opportunities

    Starting a candle business in Dubai presents several challenges and opportunities. Here are some of the key challenges and opportunities to consider:


    High competition: The candle market in Dubai is highly competitive, with established brands dominating the market. It can be challenging for new entrants to compete with these brands.

    Seasonal demand: Candle demand can be seasonal, with higher demand during festive seasons and lower demand during other periods.


    Growing market: The candle market in Dubai is steadily growing, presenting opportunities for new entrants to tap into this market and establish their brands.

    Niche markets: There are several untapped niches in the candle market, such as eco-friendly candles, organic candles, and luxury candles, which can be targeted by new businesses.

    Online sales: With the increasing popularity of online shopping, there are opportunities to establish an online presence and reach a wider audience.

    Tourism: Dubai is a popular tourist destination, presenting opportunities to attract tourists with unique and high-quality candles that showcase the city’s culture and heritage.

    How Worldwide Formations can help

    Starting a candle business in Dubai requires careful planning, research and execution. However, with the growing demand for candles and the opportunities presented by the market, it can be a lucrative venture for entrepreneurs.

    By following the legal requirements, sourcing high-quality materials, and establishing a unique value proposition, you can establish a successful candle business in Dubai.

    If you are interested in starting a business in the UAE, it is recommended to seek the guidance of a professional business setup consultancy such as Worldwide Formations.

    Our team of experts can provide you with comprehensive solutions for company formation, licensing, visas, and legal compliance.

    With our expertise and support, you can start your business in the UAE with ease and confidence.

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